Daines Introduces Crypto Tax Overhaul Bill with Stablecoin Payment Exemption

U.S. Senator Steve Daines introduced the ADAPT Act on September 30, aiming to simplify cryptocurrency taxation and reduce tax burdens for everyday crypto use.

The bill proposes tax exemption for stablecoin payments and small network fees, allowing purchases of goods or services with certain U.S. dollar-denominated stablecoins to avoid capital gains taxation.

It would also exempt brokers from information reporting obligations in such cases, excluding traders and dealers who make over 5,000 transactions per year or aim only at applying the system.

The bill extends tax rules applied to stocks and commodities to cryptocurrencies, introducing wash-sale rules for the first time to prevent tax avoidance.